Financial Reporting and Ethics - The Institute of Chartered ...

FINANCIAL REPORTING AND ETHICSDeontology focuses on the features of an action, rather than the consequences.Deontologists insist that morals are based upon fundamental principles andnot mere results. The word” deontology” derives from the Greek language of“duty” that is “promises should be kept”, agent’s deontology.Consequently, ‘deontology” does not strictly apply.Obaluaye was under no duty to save the girl. Indeed, he took a risk of beingcaught and severely dealt with, if not killed, by the rapists. He took an utilitarianstep by getting the hapless and debased girl liberated and, by so doing, becamea follower of the Athenian Philosopher, Confucius, who says that “ in nothingdo we nearly approach the gods than in doing good to our fellow men”8.6 SUMMARY AND CONCLUSIONSThis chapter explains self-regulation and oversight functions in professionalethics, the IFAC and ICAN code of ethics, and current developments inprofessional ethics. It describes quality control and peer review, evaluatesconflict of interests in corporate and professional environments and describesspecific threats and safeguards in accounting.Refer to Comprehensive Questions and Suggested Solutions in Appendix II,page 269.8.7 REVISION QUESTIONS8.7.1 MULTIPLE-TIPLE-CHOICE QUESTIONS1. A professional accountant should, during the course of duties, demonstrate(I) integrity.(II) subjectivity.(III) objectivity.(IV) confidentiality.A. I onlyB. II onlyC. I, III, and IVD. I and II2. Which of the following is true of “Quality Control?”(I) Measurement Yardstick(II) Benchmark(III) Corrective Measure.A. I onlyB. II onlyC. III onlyD. I and IIE. I, II and III3. A Peer Review Programme(I) enhances the quality and auditing.(II) studies inter-audit firm relationship.(III) improves attestation services.180